CARMAX AUTO FUNDING LLC 8-K

What Happened
CarMax Auto Funding LLC (the Depositor) and CarMax Business Services, LLC announced an underwriting agreement dated July 14, 2026, with Scotia Capital (USA) Inc. as representative of the underwriters to sell $1,333,123,000 aggregate principal of asset-backed notes issued by CarMax Auto Owner Trust 2026-3. The offering is registered on Form SF-3 and a final prospectus was filed July 14, 2026. The notes are expected to be issued on or about July 22, 2026. CarMax Business Services will serve as servicer; Wilmington Trust will act as owner trustee and U.S. Bank Trust Company, N.A. as indenture trustee for the transaction.

Key Details

• Total Offered Notes: $1,333,123,000 across multiple classes (Class A‑1 through D).
  • Principal breakdown (offered): A‑1 $294,077,000; A‑2 $446,067,635; A‑3 $445,974,140; A‑4 $80,707,125; B $23,381,285; C $25,387,478; D $17,378,335.
• Retained by Depositor on issuance: $16,877,000 aggregate principal (small retained tranches across A‑1 through D).
• Expected Issuance Date: on or about July 22, 2026. Underwriter rep: Scotia Capital (USA) Inc.; servicer: CarMax Business Services; indenture trustee: U.S. Bank Trust Company, N.A.; owner trustee: Wilmington Trust.
• Transaction documents (receivables purchase agreement, sale & servicing agreement, indenture, trust agreement, administration and review agreements) will be entered on the issuance date; legal and tax opinions and CEO certification were filed with the 8‑K.

Why It Matters
This filing documents a securitization — CarMax is packaging retail vehicle installment sale contracts into asset-backed notes to raise cash from investors. The $1.333B offering provides funding and liquidity tied to CarMax’s auto loan receivables; investors will assume credit exposure to those receivables while CarMax retains a small portion (the retained notes), aligning interests. For retail investors, this is not an equity event (no change to CarMax stock ownership) but it is a material financing action that affects how the company funds its auto lending business and could influence cost of funding and balance-sheet financing going forward.